The U.S. Department of Defense has blackballed major drone manufacturer DJI Technology over ties to the Chinese Communist Party.
One of the world's biggest producers of consumer-level drones, DJI was found to be closely tied to the Chinese military, according to the South China Morning Post.
This connection makes the firm ineligible for partnership with the U.S. military due to security concerns.
DJI has been added to a growing blacklist of Chinese companies slapped with restrictions on everything from transactions to investments.
The blacklist is a product of 2021's National Defense Authorization Act. Companies are blacklisted by the military not only to ensure security on the U.S. side, but also to suppress the growth of the People's Liberation Army, which stands to benefit from business with much of the blacklist.
The ongoing blacklist of Chinese companies is only one front of a comprehensive push by the Biden administration to put pressure on the People's Republic of China.
Commerce Department announced regulations last month that require further licenses for computer chip giants like Nvidia Corp and Micro Devices to deliver chips to China, particularly powerful artificial intelligence chips, Reuters reported Monday.
The Biden administration is reportedly in the process of drafting letters informing relevant companies of the regulations changes.
The final letters may include additional actions against China, according to Reuters.
The Commerce Department resorts to such letters as a means of getting around the formal regulation process, but in such cases, the changes only affect companies directly contacted by the department.
Fox News' Anders Hagstrom contributed to this report.